Dormitory Authority boosts school projects

By Michael Stoler | June 15, 2010 06:00PM

The Dormitory Authority of the State of New York, which provides funding for public and private higher universities, health care facilities and public service institutions, has been backing many higher education projects.

Two recent beneficiaries of the funds have been. St. Joseph College — which received $30.87 million in tax-exempt bonds — and St. John’s University — which received $12 million in a tax-exempt equipment leasing program.

In May, at its board meeting, the Dormitory Authority approved the sale of approximately $101.94 million in tax exempt bonds to St. Mary’s Healthcare System for Children in Bayside Center. The proceeds of the bonds are expected to fund a major modernization of the campus including a new five-story addition and renovations to the existing building.

In February, Memorial Sloan-Kettering Cancer Center announced that the center paid $83.1 million for the buildings formerly known as Cabrini Medical Center, located between 19th and 20th streets and Second and Third avenues. The 450,000-square-foot, five-building complex will be known as Memorial Sloan Kettering 19th Street, and will become an outpatient cancer center.

The Dormitory Authority board approved a resolution to provide $80 million in 30-year tax-exempt bonds for the Cabrini acquisition and renovation. Last year, the Dormitory Authority approved a $75 million lease finance transaction for the center’s sophisticated medical equipment.

The Dormitory Authority is one of the largest higher education, health care and public-purpose issuers of public debt in the nation with an outstanding bond portfolio of more than $41.7 billion. The Dormitory Authority also has a New York State construction pipeline of more than 700 projects valued at $6.65 billion.

Michael Stoler is a columnist for The Real Deal and host of real estate programs “The Stoler Report” and “Building New York” on CUNY TV and on WEGTV in East Hampton. His radio show, “The Michael Stoler Real Estate Report,” airs on 1010 WINS on Saturdays and Sundays. Stoler is a director at Madison Realty Capital as well as an adjunct professor at NYU Real Estate Institute, and a former contributing editor and columnist for the New York Sun.